Propane

I came to my second house after being away for a month to find a burst water line and no propane. Surprisingly, the two were unrelated but this is what I learned by calling every propane dealer in the phone book. I was not able to get propane today and I may get 100 gallons tomorrow.

1. Except for one company, all gas companies are rationing how much propane you are allowed to buy.

2. If you are a new client, some companies are charging a leak test fee even if your tank is not empty. This price ranges from $25 to $75 per test.

3. Half of the companies are not accepting “new clients”. One company told me that they would “accept” me once my paperwork was approved. This would take three weeks even though I was a client prior to purchasing my own tank with excellent credit.

4. One offer today was to send a truck without a pump to equalize with my empty tank. I would get 40 gallons of propane for over $8 per gallon.

5. Now imagine what happens when this is food. Are you following the drought in California’s breadbasket?

As more than half the nation has spent weeks in a deep freeze, the price of propane — used for everything from heating homes to powering farms — has skyrocketed, leading Washington lawmakers to question whether producers are manipulating the market.

The impact of record prices is particularly pronounced in rural states, where propane is more commonly used. In Colorado, residents saw prices nearly tripling in the past two weeks as freezing weather in the Midwest boosted demand on an already tight supply in the state. Since Jan. 16, prices have jumped to as much as $6 a gallon from $2.30.

3 Responses to Propane

WOW, at $8 a gallon we are not going to be doing much grilling this summer.

Is it really possible that these lawmakers are that clueless? Have they not heard of the economic principle of supply and demand? The nation has been locked up in a cold spell there is snow even in the South. Of course people are going to be using more. Maybe if this administration would let the oil and natural gas people use Federal lands we could have a back supply of propane available to us.

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